JSPL to exit from Power business, Worldone to acquire 96% stake in Jindal Power
New Delhi: Naveen Jindal-led Jindal Steel and Power on Tuesday said that it’ll divest 96.42 per cent stake in its material subsidiary Jindal Power Limited (JPL) to Worldone Private Limited (JPL) for Rs.3015 Crore. As per the agreement, worldone will acquire JPL’s assets including 3,400 MW Coal fired power plants in Chhattisgarh and other non-core assets.
JPL operates combined power generation capacities of 5049 MW including the 3400 MW O.P. Jindal Super Thermal Power complex at Tamnar, Chhattisgarh.
“The divestment is in line with JSPL’s strategic objective to continuously reduce its debt, focus on its India Steel business and significantly reduce its carbon footprint by almost half as part of its ESG objectives” said JSPL.
“This divestment is in line with our ESG objectives to be amongst the top 10 lowest Co2 emitting steel companies of the world. It is yet another step towards our vision to reduce debt substantially and create a robust balance sheet for our investors and stakeholders. Looking to the future, JSPL will be a key growth driver in the Indian steel industry and will now focus on undertaking expansion of its Angul steel plant from 6 MTPA to 12 MTPA. Infrastructure spending in India is bound to grow exponentially and JSPL is fully aligned with GoI’s vision of achieving 300 MTPA steel production by 2030. We firmly believe in the India growth story and its potential to be an engine of global growth ”V.R. Sharma, MD- JSPL said.